Delhi HC stays ED proceedings against Hero MotoCorp CMD Pawan Munjal; stock rises 1.7%

HeroMoto Corp Ltd's shares rose 1.7% on Friday after Delhi High Court issued a stay on the Enforcement Directorate's proceedings against the firm's CMD Pawan Munjal.

The HC noted that since the Director of Revenue Intelligence's (DRI) complaint, which kickstarted ED's investigation, has itself been stayed by the HC on November 3, the ED proceedings need to be stayed as well. The case is now likely to come up for hearing on March 21, reported Moneycontrol. Mukul Rohatgi, the counsel, had argued that ED’s case is based on a matter in which Munjal has been exonerated by the AA of the Customs, the report said.

On Friday, Hero MotoCorp's scrip on BSE closed trading 1.7% higher at Rs 3,335.1. The stock's 52-week high is Rs 3,367 and 52-week low is Rs 2,247.

Earlier this month, the Enforcement Directorate said it has attached assets worth Rs 24.95 crore of Pawan Munjal as part of a money laundering investigation against him.

Three immovable properties of Munjal located in Delhi have been provisionally attached under the provisions of the Prevention of Money Laundering Act (PMLA), the central agency had said in a statement.

The ED had carried out raids against Munjal and his companies in August after filing a PMLA case against him that was filed after taking cognisance of a Directorate of Revenue Intelligence (DRI) charge sheet that accused him of taking foreign exchange/currency out of India illegally.